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TEHRAN'S CASE SPECIAL: NOVAK

Russia eyes oil freeze deal in April minus Iran

MOSCOW, March 14, 2016

A global deal to freeze oil production could be signed in April and exclude Iran, which has the right to boost output after years of sanctions, Russian energy minister Alexander Novak said on Monday after talks in Tehran.

Four of the world's leading oil producers - Russia, Saudi Arabia, Qatar and Venezuela - met in Doha last month, saying they were ready to freeze output at January levels if other producers did the same.

A final agreement on an output freeze to support oil prices, which have fallen 65 per cent since peaking in June 2014 due to oversupply, is seen next month, possibly again in Doha, Novak said.

He said the deal could exclude Iran as the country seeks to regain production hit by now-lifted international sanctions imposed over Tehran's nuclear programme.

"We share (the view) that Iran is in a special situation. The sanctions that had been introduced had materially hit (Iran's) output," Novak said after meeting his Iranian counterpart Bijan Zanganeh.

He said Iran still insisted on a recovery in its oil output before any possible production freeze.

"On the whole, Iran supports the need for co-ordination between oil exporters, including a possible freeze. But Iran's position is that they have to first restore their production volumes ... After that, they are ready to join the freeze," Novak said.-Reuters




Tags: Energy | Iran | Russia | oil freeze |

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